TailWaggers Doggy Daycare
TailWaggers Doggy Daycare operates pet daycare centers offering dog playtime, overnight boarding, grooming, and retail services in a non-caged environment. Known for providing safe, social interactions for dogs, it is part of the growing pet care franchise sector.
TailWaggers Doggy Daycare franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a TailWaggers franchise ranges from $712,300 to $1,107,667. This includes the initial franchise fee and other startup costs as detailed in the FDD [p.1].
What is the initial franchise fee?
The initial franchise fee is $45,000 for the first franchise and $25,000 for each subsequent franchise. This fee is nonrefundable except in specific circumstances where you fail to meet pre-opening obligations and the agreement is terminated by the franchisor [p.6].
What are the ongoing royalty and advertising fees?
The franchisee must spend 5% of the previous month's gross sales on local advertising, promotions, and public relations [p.18]. Additionally, there is a requirement to contribute to the Marketing Fund, which Franchisor administers and adjusts from time to time [p.66], but specific amounts are not detailed in these excerpts. This isn't specified in the provided excerpts.
How long is the initial franchise agreement, and can I renew it?
The initial franchise agreement term is not specified in the excerpts. However, according to [p.54], a franchisee has the right to renew the agreement for up to three successive terms of ten years each, making the total term not exceed forty years, provided certain conditions are met.
Can I sell or transfer my franchise, and what does that require?
According to the FDD, you can sell or transfer your franchise, but it must be done with the Franchisor's approval [p.85]. For a sale or transfer not involving family members, you need to provide a bona fide offer or proposal along with pertinent documents to the Franchisor [p.85]. Additionally, transfers due to death or incapacity are subject to Section 18.6 of the FDD [p.85]. The Franchisor can refuse transfer for good cause, which includes but is not limited to unspecified reasons [p.176].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement if there is a default under any other agreement with the franchisee, such as another franchise agreement or multi-unit franchise addendum [p.77]. Additionally, the franchisor has the right to terminate the agreement for good cause, which includes failure to comply with any lawful provision of the Franchise Agreement and not curing the failure within 30 days after receiving written notice [p.176].
What financial requirements — net worth and liquid capital — do I need to qualify?
The FDD does not specify exact net worth or liquid capital requirements for qualifying as a franchisee. However, if your unaudited financial statements show a net worth of less than $100,000.00, you may request that initial investment funds be escrowed until certain obligations are fulfilled [p.177].
Do I get an exclusive or protected territory?
No, you do not receive an exclusive territory. You will operate within an "Area of Primary Responsibility" that is mutually agreed upon and depicted on a map attached to the Franchise Agreement [p.25, p.49]. This area can be subject to competition from other franchisees or company-owned businesses, and you are restricted from directly marketing to customers in another franchisee's area without permission [p.22, p.25].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program that includes topics such as sales and marketing methods, financial controls, maintenance of quality standards, customer service techniques, record keeping, and reporting procedures. This training is conducted at their headquarters or another designated location, and while there is no charge for the initial training, franchisees are responsible for all travel costs and living expenses [p.63]. Additionally, the franchisor offers on-site opening assistance and may provide additional training for a fee if needed [p.21]. Ongoing support includes the Operations Manual and updates on current laws affecting the industry and business operations [p.22].
How many franchised outlets are there, and how many have closed or been terminated?
There were eight franchised outlets operating during 2023, as stated in [p.150]. According to the provided excerpts, no franchisees had an outlet terminated, cancelled, not renewed, or otherwise ceased to do business involuntarily during the most recently completed fiscal year. However, one franchisee had an outlet transferred under a franchise agreement in 2015, but this does not count as a closure or termination within the recent period mentioned.
Does the franchisor share any financial performance or earnings information?
The franchisor may provide financial performance information if there is a reasonable basis for it and if it is included in Item 19 of the Disclosure Document. Additionally, they can provide actual records of an existing outlet being considered for purchase. However, the franchisor does not make any representations about future or past financial performance, nor do they authorize their employees to make such claims [p.30-31].
What am I restricted to selling, and where must I buy supplies?
This isn't specified in the excerpts. The provided FDD sections discuss restrictions on internet marketing activities, approval of goods and services, and sourcing furniture, fixtures, equipment, and initial inventory based on specifications set out in the Operations Manual. However, they do not explicitly state what you are restricted to selling or where you must buy supplies.